TCS beats Accenture's BFSI revenues to become top provider for banks
Indian IT services giant Tata Consultancy Services (TCS) has crossed yet another milestone in its development as one of the largest consulting firms in India, having overtaken global management consultancy Accenture in terms of financial services revenues for the latest quarter.
The move past Accenture provides TCS with the coveted position of the largest “pure-play” IT services and consultancy services in firm, specifically among those who offer services to the financial services and banking sectors. Accenture has held this position for the last decade.
The difference between the two firms was marginal in terms of revenues. Between July and September, TCS reeled in $2.07 billion cumulatively from banking, financial services and insurance services (BFSI). In the comparable quarter, Accenture generated revenues of $2.01 billion from the whole suite of BFSI services.
Perhaps the most striking difference between the two firms, however, was the gap in the year-on-year revenues for the last financial year. Specifically in the BFSI domain, TCS achieved 9.3% year-on-year growth for the last quarter, which is substantially higher than the 3.1% growth achieved by Accenture.
The achievement reflects a broader trend amongst Indian IT services firms, which are gradually realising the redundancy of their traditional IT architecture and maintenance services and reorienting their operations to focus more on the BFSI domain. Wipro recently achieved higher revenues than most experts predicted over the last year, specifically by investing more in BFSI capabilities.
This is among a number of milestones that TCS reached this year, the most prominent of which so far was it’s surpassing of $100 billion in market capitalisation in April this year. Alongside Infosys, the firm has also been engaged in a digital drive across its operations, with hopes of evolving with global market trends.
Both TCS and Infosys recently topped the Indian list for the Forbes Best Regarded Companies across the globe. A highlight of TCS’ operations in the BFSI domain recently is its $2.5 billion contract with US insurance giant Transamerica. Under the contract, TCS will now handle the administration of Transamerica’s annuities and insurance verticals.
Commenting on the achievement, TCS Chief Operating Officer N. Ganapathy Subramaniam said, “In the last quarter, we became the number one pure-play IT services firm servicing the banking and financial services sector across the world. This is very heartening to see we are doing well, and the way we are shaping the industry.”
